Financial Crime World

Bermuda Moves to Strengthen Anti-Money Laundering and Antiterrorist Financing Legislative Framework

Government Announces Proposed Changes to Relevant Legislation

In a bid to further strengthen its anti-money laundering (AML) and anti-terrorist financing (ATF) legislative framework, the Bermuda Government has announced proposed changes to relevant legislation. The move aims to bring the island in line with global standards set by international organizations such as the Financial Action Task Force (FATF).

National Risk Assessment Identifies Key Areas for Attention

In 2020, Bermuda conducted a national risk assessment of money laundering and terrorist financing risks, which identified key areas that require attention. The assessment highlighted the need to enhance the country’s ability to detect and prevent money laundering, terrorist financing, and the financing of proliferation.

Proposed Changes Aim to Strengthen AML/ATF Framework

The proposed changes aim to strengthen Bermuda’s AML/ATF framework by:

  • Enhancing the country’s ability to detect and prevent money laundering, terrorist financing, and the financing of proliferation
  • Improving cooperation between relevant authorities and stakeholders
  • Increasing transparency and accountability in financial transactions

What is Money Laundering?

Money laundering involves concealing the source or origin of illegally derived funds, often through complex financial transactions.

What is Terrorist Financing?

Terrorist financing refers to providing support to individuals or groups engaged in terrorism, whether directly or indirectly.

What is Proliferation Financing?

Proliferation financing is defined as providing financial assistance towards the development or delivery of weapons of mass destruction.

Bermuda’s Anti-Money Laundering and Antiterrorist Financing Efforts

Bermuda has criminalized money laundering and terrorist financing under various laws, including:

  • The Proceeds of Crime Act 1997
  • The Anti-Terrorism (Financial and other Measures) Act 2004

The country has also implemented measures to prevent proliferation financing.

Role of the Financial Intelligence Agency (FIA)

The FIA plays a crucial role in detecting suspicious activity and reporting it to the relevant authorities. Anyone with concerns about potential money laundering or terrorist financing activities is encouraged to report their suspicions to the FIA.

Global Efforts Against Money Laundering, Terrorist Financing, and Proliferation Financing

Bermuda’s efforts are part of a global campaign against money laundering, terrorist financing, and proliferation financing. The country is a member of:

  • The Financial Action Task Force (FATF)
  • The Caribbean Financial Action Task Force (CFATF)
  • The International Monetary Fund (IMF)

Public Feedback Invited

The public is invited to provide feedback on the proposed changes before November 30, 2021.